4 Telltale Signs That You Should Outsource Your Accounting
All over the world, small business owners tend to be jacks of all trades from handling accounting to day to day operations. And it works – albeit for a short time. However, as the business grows, owners become more stretched. Company owners who decide to manage the business operations by themselves entirely may meet with difficulties.
Talented as one may be in their line of work, having a team to support one’s business is indispensable if success is desired in the long-run. As such, consider the option of outsourcing your accounting function, and then backing it up with services from a reputable audit firm in Singapore. Know these telltale signs to know when it’s the right time to outsource.
Other vital business operations
Accounting is a vital function in a business, but it’s just one part of the whole. Sales are the lifeline of any business, and to be effective at selling, leaders in those areas must be focused and energised.
That’s difficult to attain if you are part of that group, but also spend several hours of your day bookkeeping and ensuring every transaction is correctly captured. If other vital functions of the business are declining at the expense of proper accounting, outsource the function to an audit firm and refocus on the business’s steady growth.
Cut down on cost
You may have realised the necessity of delegating the accounting role to someone while the business was still at its infancy. At that time, you may have decided to hire a bookkeeper, next an accountant, and now the pool has grown in size. As such, it may have become difficult to manage all the overhead costs and it has depleted your finances for other business expenses.
It’s not just about the salaries, but also the fringe benefits and staff development you would like to see your team enjoying. You cannot cut costs when the expenditure side of the income statement is bloated by staff overhead.
Thus, consider outsourcing the accounting function. In doing so, you can scale down your high-pay staff and cut costs significantly. Reach out to firms providing accounting services and audit services in Singapore to make this a reality.
Protection against fraud
Economic crime is one of major factors that impact business finances – one case in particular being fraud. In fact, according to PricewaterCoopers (PwC), a multinational network of firms providing top-quality tax, assurance, and consulting services, findings from their Global Economic Crime and Fraud Survey 2020 shows that 42% of Singapore-based companies surveyed experienced cases of economic crime and fraud within the past 24 months.
To minimise this risk to both your finances and reputation, delegating the task to an audit firm is the wisest choice. By doing so, you’ll achieve your organisation’s objectives, avoid potential fraud, and receive accurate reports of your finances.
As your business grows, an in-house accountant could be overwhelmed by the work that accompanies the expansion. Rather than try to navigate the extra work in-house, you should offload the brunt of it by outsourcing to an experienced accounting services firm.
This way, you can maintain the in-house accountant as the first line, the accounting firm as a second line checker, and an audit firm’s services as the third-party verifier. Moreover, as time passes, you can adjust the resources allotted for the accounting firm depending on the need, thus maximising profits.
Sometimes, relying on the experts is a must, and the above signs will tell you that it’s time to outsource your accounting to a reputable and competent firm. If a few, if not all, of them apply to you, consider getting in touch with OneStop Professional Services.
With a slew of services such as corporate financing, financial outsourcing, auditing, and accounting, we’re the one-stop-shop dedicated to attending to all your corporate needs.